El intercambio comercial de la manufactura mexicana / The Commercial Exchange of Mexican Manufacturig

ABSTRACTIn this paper I will explain the case of China, with two important points. The first is how this Asian country exports to United States. That have helped a reduction in mexican manufacturing exports. The second is the presence of a growing trade deficit of Mexico with the Chinese economy. I present the behaviour of the trade balance. The chains of value and importance by sectors are also delineated. Finally, I explain the intraindustry trade through the use of index Grubel and Lloyd.RESUMENEn este artículo apunto el caso de China, con dos puntos importantes. El primero es cómo las exportaciones de este país asiático hacia Estados Unidos han ayudado a una reducción de las exportaciones de manufacturas mexicanas y el segundo es la presencia de un creciente déficit comercial de México con la economía China. Presento el comportamiento de la balanza comercial. También se delinean las cadenas de valor, su importancia por sectores. Finalmente explico el comercio intraindustrial a través de la utilización del índice de Grubel y Lloyd.

Intra-industry trade in the Visegrad countries: Does the linder hypothesis hold?

In 1961, Staffan Linder attacked mainstream trade economics by diverging from the generally accepted factor endowments theory and focusing on alternative explanations of why countries trade with each other. He was among the first economists to recognise the growing importance of intraindustry trade and presented his hypothesis that the more similar the per capita income levels of countries, the more they tend to trade with each other. This observation has since become one of the main pillars of modern trade theory. The present paper assesses the empirical validity of the Linder hypothesis in the Visegrad countries. Using a variant of the gravity model, it finds that when controlling for other factors, the Visegrad countries tend to trade more with countries with similar per capita income levels than with significantly richer or poorer countries. This observation is consistent with the Linder hypothesis. OLS regressions, Tobit regressions, and robustness checks all support the hypothesis.

GMM Estimator: An Application to Intraindustry Trade

This paper investigates the determinants of intraindustry trade (IIT), horizontal IIT (HIIT), and Vertical IIT (VIIT) in the automobile industry in Portugal. The trade in this sector between Portugal and the European Union (EU-27) was examined, between 1995 and 2008, using a dynamic panel data. We apply the GMM system to solve the problems of serial correlation and the endogeneity of some explanatory variables. The findings are consistent with the literature. The difference between per capita incomes and factor endowments present a positive sign. These results are according to Heckscher-Ohlin predictions. The economic dimension has a positive impact on trade. A negative effect of the distance on bilateral trade was expected and the results confirm this, underlining the importance of neighbour partnerships for all trade.

Pareto Improvements To Free Trade In An Infinitely Repeated Dynamic Game

In an infinitely repeated intraindustry trade game governments improve on the static prisoners dilemma outcome of the Brander and Spencer (1985) trade policy. When firms collude as joint monopolist governments reach the Pareto frontier of their feasible and individually rational set (FIRS) using a policy of free trade. Free trade and collusion will place firms on the Pareto frontier of their effective feasible and individually rational set (EFIRS). Without collusion free trade forces governments and firms inside their respective FIRS and EFIRS. We demonstrate that without collusion governments return to the Pareto frontier of their FIRS only when taxing exports.